Across from Javits, buyer takes 2nd bite of apple
Investor David Marx buys back the site he lost to his lender, Lehman Brothers, and pays roughly a third less than he had in 2007. He plans to build a hotel of up to 210,000 square feet.

Real estate investor David Marx likes the prospect of building a hotel right on a piece of property across the street from the Jacob K. Javits Convention Center so much, he's buying it for the second time, this time for over $30 million. During the recession, he was booted by his lender Lehman Brothers.

Mr. Marx, a real estate investor who owns other parcels in the far West Side neighborhood, including a development site on the northeast corner of West 34th Street and Tenth Avenue, is acquiring 448 11th Ave., a piece of land on the corner of West 37th Street.

It's Mr. Marx's second try at the property, which he first acquired with partners at the peak of the market in 2007 for a whopping price of nearly $45 million. That initial ownership didn't end well. In 2011, with construction financing almost impossible to come by and unable to break ground, he was forced to hand the property back to its lender, Lehman Brothers Holdings, which put the property back on the market several months ago.

Another one back from the dead! I do wonder if this is getting redesigned though I hope it is, since the rest of the Hudson Yards area is nearing construction.

Real estate investor David Marx is taking another crack at a hotel dream that the recession shattered, paying more than $30 million for a site that his lender Lehman Brothers seized just two years ago, Crain’s reported.

At look at the development sites in the area...

Maybe Extell needs to be back in the game...

__________________NEW YORK. World's capital.

“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.

This time it’s different: David Marx eyes groundbreaking on 2nd Hudson Yards hotel
Developer will pay $16.8M for building bonuses at 450 11th Ave.

February 18, 2015
By Rich Bockmann

Quote:

Developer David Marx, who already has a hotel under construction in Hudson Yards, is planning to break ground next year on a 438-key property on another site in the neighborhood that he once lost to his creditor.

Marx is planning to kick off construction early next year on a 39-story, 213,300 square-foot tower set to rise at 450 11th Avenue, a representative for the developer said. “No agreement with a particular brand at this point,” the representative wrote in an e-mail.

Marx paid $35 million in 2013 to buy back the site at the southeast corner of 37th and 11th Avenue, within spitting distance of the Javits Center. Lender Lehman Brothers had seized the property from Marx in 2011 after the developer failed to acquire a construction loan. The property allows for just shy of 100,000 square feet as-of-right.

The developer will acquire another 114,550 buildable square feet by paying $16.8 million for a pair of building-bonus funds the city made available for projects in Hudson Yards when it rezoned the area in 2005.

Marx’s tower will be a block south from where the Chinese private equity firm Kuafu Properties, Siras Development and BlackHouse Development are planning a 47-story, hotel/condo tower.

__________________NEW YORK. World's capital.

“Office buildings are our factories – whether for tech, creative or traditional industries we must continue to grow our modern factories to create new jobs,” said United States Senator Chuck Schumer.

Queens Developer Buys 35K SF of Building Rights for Far West Side Hotel

Quote:

A Flushing-based developer closed on air rights for a long-plagued project in the Hudson Yards section of the Far West Side, Commercial Observer has learned.

David Marx bought 35,550 square feet of transferable development rights from the Eastern Rail Yards, according to property records and a source familiar with the deal. The rights, which sold for $7 million, will go toward construction of a hotel at 450 11th Avenue, which the developer has been working on since before the Great Recession.

The Metropolitan Transportation Authority and the Hudson Yards Infrastructure Corporation sold off the rights to 37-11 Owner LLC in a deal that closed yesterday, records obtained by CO show. A representative of the Hudson Yards Infrastructure Corporation, the city-run organization that promotes development in the area, did not immediately return a request for comment. A source with knowledge of the deal confirmed to CO that 37-11 Owner LLC was Mr. Marx.

The Hudson Yards Development Corporation manages the air rights, but sales are handled by the MTA and Hudson Yards Infrastructure Corporation. A spokeswoman for Hudson Yards Development Corporation was not immediately available for comment.

Developers will often buy air rights from above the rail yards, which straddles the Hudson River. The Eastern Rail Yards offer 4.5 million square feet of air rights, which can be used on projects specific to the Hudson Yards district, which spans West 30th to West 43rd Streets, and Eighth to 12th Avenues.

Mr. Marx, the head of Marx Development Group, is slated to build a 213,300-square-foot hotel at 450 11th Avenue and the corner of West 37th Street, which will break ground next year, The Real Deal reported in February. He originally had the right to build up to 100,000 square feet at the site and planned to pay $16.8 million for two building bonus funds from the city that would pave the way for his ability to purchase most of the remaining square footage. He did not immediate return a call for comment.

37-11 Development, LLC is developing a 438-room Aloft-branded hotel (the “Project” or “Hotel”) at the southeast corner of 37th Street and 11th Avenue in Manhattan. Aloft is Starwood’s upscale lifestyle/boutique brand. According to Starwood, “Aloft Hotels is a modern, fresh, and fun destination. Aloft is a hotel that celebrates the individual and gives you freedom to control and customize your travel adventure to fit your personal style. It is a place where walls have been knocked down to create a space that is open in design and open to possibilities.” 37-11 Development, LLC has an executed franchise agreement with Starwood for the development of the Aloft franchise, and management is anticipated to be contracted out to a world-class third-party hotel operator, with multiple management proposals already having been received.

The Hotel:

Quote:

As currently contemplated, the Project will open in February 2018. The approximate 254,000 gross square foot, 39-story development is anticipated to be comprised of 438 guestrooms with amenities including approximately 2,500 square feet of function space, Aloft’s branded “W XYZ Bar”, a fitness center, breakfast area, and Aloft’s branded “Re:Fuel” grab and go-style eatery.

David Marx to operate new Hudson Yards building as Aloft hotelDeveloper releases new renderings, plans to break ground later this year

April 18, 2016
Rich Bockmann

Quote:

Hotelier David Marx unveiled new renderings for his latest Hudson Yards project, which will fly Starwood Hotels & Resorts Worldwide’s Aloft flag when it opens in 2019.

Marx, whose on-again, off-again plans to build a hotel across from the Jacob K. Javits Convention Center stretch back to 2007, said he’s ready to break ground at the end of this year on his 440-room project at 450 11th Avenue at the corner of West 37th Street.

Marx Development Group has landed an $88 million construction loan for a Marriott hotel it is building in Hudson Yards.

Mack Real Estate Credit Strategies provided the 24-month financing, which will be used to recapitalize the project and cover the hotel’s final pre-development costs, sources told The Real Deal. Developer David Marx has already raised $66 million of EB-5 funds to help finance vertical construction on the hotel.

Shaya Ackerman and Shaya Sonnenschein of Meridian Capital Group arranged the debt.

The Marriott will be located at 450 11th Avenue on the corner of West 37th Street. It will span about 235,000 square feet and stand 42 stories tall with 441 rooms and 3,000 square feet of retail.

Several luxury hotels have started cropping up in Hudson Yards as major companies such as Amazon and Wells Fargo commit to establishing a presence in the neighborhood. Pendry Hotels is planning a 164-key project at Manhattan West, while other projects include an Equinox Hotel the High Line Hotel and Pestana CR7, which soccer star Cristiano Ronaldo is co-branding.